State of New Jersey Common Pension Fund D Has $28.59 Million Stock Holdings in McKesson Corporation $MCK

Key Points

• The State of New Jersey Common Pension Fund D reduced its holdings in McKesson Corporation by 11.0%, owning 42,483 shares valued at approximately $28.59 million after selling 5,231 shares during the first quarter.
• McKesson recently increased its quarterly dividend to $0.82 per share, up from $0.71, with a total annualized dividend now at $3.28 and a payout ratio of 11.32%.
• Despite missing earnings estimates for the last quarter, McKesson reported a significant revenue increase of 23.4% year-over-year, totaling $97.83 billion.

State of New Jersey Common Pension Fund D decreased its holdings in shares of McKesson Corporation (NYSE:MCK - Free Report) by 11.0% in the first quarter, according to the company in its most recent Form 13F filing with the Securities & Exchange Commission. The firm owned 42,483 shares of the company's stock after selling 5,231 shares during the period. State of New Jersey Common Pension Fund D's holdings in McKesson were worth $28,591,000 as of its most recent SEC filing.

A number of other hedge funds and other institutional investors have also recently added to or reduced their stakes in MCK. Brighton Jones LLC lifted its stake in McKesson by 46.3% during the fourth quarter. Brighton Jones LLC now owns 2,523 shares of the company's stock worth $1,438,000 after purchasing an additional 798 shares during the period. Jump Financial LLC lifted its stake in McKesson by 48.5% during the fourth quarter. Jump Financial LLC now owns 2,727 shares of the company's stock worth $1,554,000 after purchasing an additional 891 shares during the period. United Capital Financial Advisors LLC lifted its stake in McKesson by 4.4% during the fourth quarter. United Capital Financial Advisors LLC now owns 3,542 shares of the company's stock worth $2,019,000 after purchasing an additional 149 shares during the period. NewEdge Advisors LLC lifted its stake in McKesson by 4.7% during the fourth quarter. NewEdge Advisors LLC now owns 13,957 shares of the company's stock worth $7,954,000 after purchasing an additional 630 shares during the period. Finally, Farringdon Capital Ltd. bought a new position in McKesson during the fourth quarter worth about $487,000. Institutional investors own 85.07% of the company's stock.

McKesson Trading Up 0.5%

Shares of McKesson stock traded up $3.5550 during midday trading on Thursday, reaching $706.4950. The company had a trading volume of 283,427 shares, compared to its average volume of 886,398. The company has a market capitalization of $87.87 billion, a price-to-earnings ratio of 28.16, a price-to-earnings-growth ratio of 1.35 and a beta of 0.50. The stock has a fifty day simple moving average of $707.96 and a 200 day simple moving average of $683.29. McKesson Corporation has a 1-year low of $464.42 and a 1-year high of $737.89.

McKesson (NYSE:MCK - Get Free Report) last issued its quarterly earnings results on Wednesday, August 6th. The company reported $8.26 earnings per share for the quarter, missing analysts' consensus estimates of $8.33 by ($0.07). The company had revenue of $97.83 billion during the quarter, compared to analyst estimates of $95.93 billion. McKesson had a net margin of 0.84% and a negative return on equity of 196.66%. The business's revenue for the quarter was up 23.4% on a year-over-year basis. During the same period in the prior year, the business earned $7.88 EPS. Sell-side analysts expect that McKesson Corporation will post 32.77 earnings per share for the current year.

McKesson Increases Dividend

The business also recently declared a quarterly dividend, which will be paid on Wednesday, October 1st. Investors of record on Tuesday, September 2nd will be issued a $0.82 dividend. This is an increase from McKesson's previous quarterly dividend of $0.71. This represents a $3.28 dividend on an annualized basis and a dividend yield of 0.5%. The ex-dividend date of this dividend is Tuesday, September 2nd. McKesson's dividend payout ratio (DPR) is 11.32%.

Insiders Place Their Bets

In related news, CAO Napoleon B. Rutledge, Jr. sold 329 shares of the firm's stock in a transaction that occurred on Friday, August 8th. The shares were sold at an average price of $663.67, for a total value of $218,347.43. Following the completion of the sale, the chief accounting officer owned 657 shares of the company's stock, valued at $436,031.19. This trade represents a 33.37% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available at the SEC website. Also, EVP Leann B. Smith sold 341 shares of the firm's stock in a transaction that occurred on Wednesday, May 28th. The shares were sold at an average price of $717.91, for a total transaction of $244,807.31. Following the completion of the sale, the executive vice president directly owned 2,800 shares of the company's stock, valued at approximately $2,010,148. This represents a 10.86% decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 56,620 shares of company stock valued at $39,712,388 over the last quarter. Company insiders own 0.08% of the company's stock.

Wall Street Analyst Weigh In

A number of research firms have recently issued reports on MCK. Evercore ISI lifted their target price on shares of McKesson from $760.00 to $800.00 and gave the company an "outperform" rating in a research note on Wednesday, July 9th. Morgan Stanley reiterated an "overweight" rating and issued a $810.00 target price (up previously from $770.00) on shares of McKesson in a research note on Wednesday, July 16th. Wells Fargo & Company lifted their target price on shares of McKesson from $766.00 to $772.00 and gave the company an "equal weight" rating in a research note on Wednesday, August 13th. UBS Group lifted their target price on shares of McKesson from $708.00 to $805.00 and gave the company a "buy" rating in a research note on Tuesday, April 29th. Finally, Bank of America lifted their target price on shares of McKesson from $755.00 to $800.00 and gave the company a "buy" rating in a research note on Friday, May 9th. One investment analyst has rated the stock with a Strong Buy rating, nine have given a Buy rating and three have assigned a Hold rating to the stock. According to data from MarketBeat, the company has an average rating of "Moderate Buy" and an average price target of $725.10.

McKesson Company Profile

McKesson Corporation provides healthcare services in the United States and internationally. It operates through four segments: U.S. Pharmaceutical, Prescription Technology Solutions (RxTS), Medical-Surgical Solutions, and International. The U.S. Pharmaceutical segment distributes branded, generic, specialty, biosimilar and over-the-counter pharmaceutical drugs, and other healthcare-related products.